Jaipur Based On Demand Hyperlocal Delivery Service App Street Jumper Gets Acquired
Jaipur based on-demand hyperlocal delivery service
app, Street Jumper, founded in November 2014 by Tarin Poddar has been acquired
by a Mumbai based entrepreneur, Sandiip Modi for an undisclosed amount in an
all cash deal. The deal details were not disclosed. Sandiip Modi is a serial
entrepreneur and an angel investor who has invested in several early stage
ventures across the country. Tarin Poddar, the founder of Street Jumper has
successfully exited the company post the acquisition. This was Tarin’s
first startup after completing his studies from NMIMS, Mumbai and
Harvard University.
Street Jumper enables users to get their things moved from one place to another. The mobile app connects users to a delivery boy, which the company likes to call “Jumper”, who offers personalized delivery service. The users can use it for the delivery of food, documents, flowers, medicines etc. Its mobile app is currently available on Android and iOS platform.
CEO and Co-founder Tarin, tells us, that his company was processing close to 250 orders per day in Jaipur at the time of acquisition, the only city in which it operates. Street Jumper until now was a completely bootstrapped startup but were in discussion with several Venture capital funds for a series A round funding. The company believes to have first mover advantage in Jaipur as it was the first company to offer hyperlocal delivery and errand running service in the city. Later Grofers and PepperTap entered the market. The hyperlocal market has become very competitive in nature and is very much funding dependent as cash burn in the business is very high. Street Jumper differentiates itself from its competitors by not focusing on one particular vertical and provides an array of delivery services depending on the user’s requirement.
Street Jumper follows the usual background check norms as well. Each delivery guy from the company goes through a very thorough screening and background check, as well as a training process to ensure user’s belongings are safe and secure.
And while there may be a heavily backed
companies like Grofers, BigBasket and others in this segment, Street Jumper’s
ability to run bootstrapped, still process over 250 orders a day and get
successfully acquired goes to show how solid business models are definite to be
successful in the long run, even in the highly competitive, over crowded
hyperlocal delivery segment.
The hyperlocal space has attracted a huge amount of funding in the last 18 months, with more than $250 million already raised. According to Assocham-PwC report, about 40 million customers purchased goods online in 2015 and the number is expected to go to 65 million this year. Street Jumper with this acquisition should expand its base to other cities.
